business opportunities in agriculture and agrifood … · 2020. 10. 24. · business opportunities...

BUSINESS OPPORTUNITIES IN AGRICULTURE AND AGRIFOOD SECTORS

DEPARTMENT OF AGRICULTURE AND AGRIFOODMINISTRY OF PRIMARY RESOURCES AND TOURISMBRUNEI DARUSSALAM

OCTOBER 2020

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• Agriculture and Agrifood industries are the major primary resources and processing

sectors which can contribute to the growth of the Gross Domestic Product (GDP),

exports and Economic Diversification.

• Through our strategic plan, the agricultural industry output is expected to increase

exponentially. The main contributors are produced by livestock and crop sectors.

Agrifood processing sector will also increase through the expansion of the livestock

and crop sector.

• To further develop the agricultural sector, particularly livestock and crops industry, the

Department of Agriculture and Agrifood has taken a lot of efforts by encouraging the

participation of local and foreign direct investment (FDI) and increasing the domestic

and export market access.

INTRODUCTION

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VISION & MISSIONDEPARTMENT OF AGRICULTURE AND AGRIFOOD

MISSION

To Stimulate The Growth of Agriculture and Agrifood-Based Industry through High-Technology and Export, Encouraging Progressive Involvement of Local and

Foreign Direct Investment, while focusing on High-Yield Production including the Primary and Processing Industries

VISION

Towards Increasing Production on Agriculture and Agrifood Based Industries through

Increasing Productivity And High Technology Oriented For Domestic and Export Market

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Productivity“...Peningkatan pertumbuhan ekonomiboleh dicapai dengan memberikeutamaan kepada peningkatanproduktiviti, melalui penyelidikan danpenggunaan teknologi terkini.”

SustainableThe implementation of strategies andprograms to increase the output of thesesectors must be sustainable. In order toreduce dependency on governmentfunding, 'public-private-partnership',participation of local and foreigninvestors and other appropriateapproaches will be explored.

Export“…Kita mustahak ingat, bahawa pasarandalam negara kecil, bukanlah alasan untukmenghalangi pertumbuhan keluaran, malahsetiap syarikat, sama ada ia milikpersendirian atau milik kerajaan, adalahmampu untuk mensasarkan penjualanproduk dan perkhidmatan mereka keluarnegara sebagai eksport.”

Growth“…Beberapa tahun kebelakangan ini, kadarpertumbuhan Keluaran Dalam Negara Kasar(KDNK) adalah agak perlahan, yangmemerlukan kita menggandakan usaha untukmeningkatkan keluaran dalam negara,terutama yang di luar sektor minyak dan gas.”

(Petikan Titah KDYMM Sempena Menyambut Awal Tahun Baru Masihi 2016)

(Petikan Titah KDYMM Sempena Menyambut Awal Tahun Baru

Masihi 2016)

(Petikan Titah KDYMM Sempena Menyambut Awal Tahun

Baru Masihi 2016)

STRATEGIC THRUST

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STRATEGIC OBJECTIVES

To increase productivity of agriculture and agrifood sectors

continuously through the use of technology, modern techniques

and encouraging the active participation of local and foreign

direct investors (FDI);

To enhance the growth of agriculture and agrifood output

continuously every year so as to contribute to the GDP growth,

export growth and could lead to economic diversification;

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STRATEGIC OBJECTIVE (CONTINUED)

To reduce dependency on government expenditure in the

implementation of strategies and programs while increasing

output growth in agriculture and agri-food industry by other

methodologies such as Public Private Partnership (PPP), joint

ventures and others;

To reduce the dependence on imports of agricultural based

products, allow the imports of raw materials for the purpose of

generating the agrifood processing industry growth;

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To implement preventive measures and control in order to protect

the agriculture and agrifood industries from plant diseases, pests

and animal diseases for the sustainability of industries

concerned;

To create the investment opportunities and local businesses in the

agriculture and agri-food sectors which will ultimately contribute to

the creation of local employment;

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https://www.google.com.bn/url?sa=i&rct=j&q=&esrc=s&source=images&cd=&cad=rja&uact=8&ved=0ahUKEwi8quLSpYbXAhVMPI8KHersD38QjRwIBw&url=https://www.frostburg.edu/hr/hr-service-areas/employment/&psig=AOvVaw0PKwMW35jcNK3-JZg1OCvV&ust=1508832612045216https://www.google.com.bn/url?sa=i&rct=j&q=&esrc=s&source=images&cd=&cad=rja&uact=8&ved=0ahUKEwi8quLSpYbXAhVMPI8KHersD38QjRwIBw&url=https://www.frostburg.edu/hr/hr-service-areas/employment/&psig=AOvVaw0PKwMW35jcNK3-JZg1OCvV&ust=1508832612045216https://www.google.com.bn/url?sa=i&rct=j&q=&esrc=s&source=images&cd=&cad=rja&uact=8&ved=0ahUKEwi8quLSpYbXAhVMPI8KHersD38QjRwIBw&url=https://www.frostburg.edu/hr/hr-service-areas/employment/&psig=AOvVaw0PKwMW35jcNK3-JZg1OCvV&ust=1508832612045216https://www.google.com.bn/url?sa=i&rct=j&q=&esrc=s&source=images&cd=&cad=rja&uact=8&ved=0ahUKEwjs68-8qIbXAhWKv48KHelnA70QjRwIBw&url=https://www.palmers.co.nz/portfolio-posts/pest-and-disease-control/&psig=AOvVaw2u0ILO0q2ZTPIv1Ad3ESz0&ust=1508833349740785


To ensure quality assurance and safety of the food

industry based on agriculture for the welfare of the

people

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CURRENT STATUS

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AGRICULTURE AND AGRIFOOD INDUSTRY GROSS OUTPUT TREND

AT CURRENT PRICE 2015 - 2019

2015 2016 2017 2018 2019

Livestock Industry 228.08 239.05 228.76 244.77 238.01

Crop Industry 57.84 55.87 59.65 63.69 58.41

Agrifood Industry 110.48 118.11 120.19 127.98 132.47

Total 396.40 413.03 408.60 436.44 428.89

0.00

50.00

100.00

150.00

200.00

250.00

300.00

350.00

400.00

450.00

500.00B$

Mill

ion

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COMMODITY

LOCAL IMPORT TOTAL SELF

SUFFICIENCY

Quantity

(Unit)

Retail

Value

($ Million)

Quantity

(Unit)

CIF

Value

($ Million)

Quantity

(Unit)%

Broilers (mt) 24,584.15 109.37 1,381.87 4.13 25,966.02 94.68%

Eggs (Million eggs) 159.63 25.32 0.00 0.00 159.63 100.00%

Beef – Buffalo & Cattle

(mt)1,464.99 29.14 3,189.46 15.49 4,654.45 31.48%

Goat & Sheep (mt) 87.71 1.316 789.90 6.41 877.61 9.99%

Day old chicks (Million

heads)14.97 17.96 2.02 1.62 16.98 88.12%

Fertilized eggs (Million

eggs)10.77 8.61 6.61 4.16 17.37 61.98%

Miscellaneous

Livestock (mt)494.10 2.53 n/a n/a n/a n/a

Livestock Feed (mt) 56,379 43.76 74,091 35.89 130,471 43.21%

TOTAL 238.01 67.70

LIVESTOCK INDUSTRY DEVELOPMENT 2019

12Note: CIF – Cost, Insurance, Freight

COMMODITY

LOCAL IMPORT

QUANTITY

(UNIT)

SELF

SUFFICIENCYQuantity

(Unit)

Retail

Value

($ Million)

Quantity

(Unit)

CIF Value

($ Million)

Vegetables (mt) 9,529.57 26.34 12,008.29 18.21 21,537.86 44.25%

Fruits (mt) 9,816.59 20.29 15,265.41 28.11 25,082.00 39.14%

Paddy (mt) 2,307.62 3.69 0.00 0.00 n/a n/a

Miscellaneaous Crop

(mt)1,644.76 3.67 15,683.75 15.12 17,328.51 9.49%

Ornamental Plants

(plants)811,524 4.37 188,077 0.36 999,601 81.18%

Cut Flowers (Cuts) 52,720 0.04 1,404,022 1.28 1,456,742 3.62%

TOTAL 58.41 63.07

CROP INDUSTRY DEVELOPMENT 2019

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Note: CIF – Cost, Insurance, Freight

TARGETS AND TRAJECTORIES

2019 - 2022

2019 2020 2021 2022

Livestock 238.01 244.72 255.34 270.20

Crop 58.41 70.83 75.30 83.63

Agrifood 132.47 146.24 150.80 164.11

Total 428.89 461.79 481.44 517.94

0

100

200

300

400

500

600

B$

Mill

ion

Nota: 2019 actual data

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FOCUS INDUSTRIES

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STATUS OF VEGETABLES INDUSTRY 2019

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Total Consumption 21,537.9 mt

Tropical 12,441.2 mt

Temperate 9,096.6 mt

Est. Retail Value (B$) $62.69 million

Per Capita Consumption 46.9 kg/yr

Local Production 9,529.6 mt

Retail Value (B$) 26.34 million

Percentage Production 44.2 %

Tropical Vegetable 76.6 %

Area Developed 779.3 ha

No of Entrepreneurs 604 entrepreneurs

Import 12,008.3 mt

CIF Value (B$) $18.21 million


Percentage Import 55.8 %

Average Retail Price (B$) $1.26 - $15.10 /kg

Average CIF Price (B$)

Tropical $0.33 - $10.60 /kg

Temperate $0.65 - $21.52 /kg

VEGETABLE INDUSTRY TARGETS2018 - 2022

2018 2019 2020 2021 2022

Vegetables 30.11 26.34 38.95 42.32 53.5

0

10

20

30

40

50

60

B$ M

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VEGETABLES INDUSTRY AREAS

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KKP SI BONGKOK

Brunei Muara

Available Area : 25ha

KKP TUNGKU

Brunei Muara


KKP BETUMPU

Brunei Muara


KKP SG TAJAU

Brunei Muara


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FOCUS & TARGET TECHNOLOGY VEGETABLE INDUSTRY

Hydroponics LED Lighting Vertical Farming

Fertigation GreenhousesPhotos sources:http://www.powerhousehydroponics.com/4-commercial-vertical-farms-worth-attention/http://www.eco-business.com/news/panasonic-ventures-into-farming-in-singapore/ 18

Hanging Fertigation

http://www.powerhousehydroponics.com/4-commercial-vertical-farms-worth-attention/

STATUS OF FRUIT INDUSTRY 2019

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Tropical 19,676.6 mt

Temperate 5,405.4 mt


Per Capita Consumption 54.6 kg/yr



Percentage Production 39.1%

Percentage Tropical Fruits 49.9 %

Area Developed 3,044 ha

No of Entrepreneurs 2,376 entrepreneurs

Import 15,265.4 mt

CIF Value (B$) 28.11 million

Est. Retail Value (B$) 45.76 million


Average Retail Price (B$) 0.51 - 8.04 /kg


Tropical $0.44 - $14.64 /kg

Temperate $1.95 - $76.57 /kg

Brunei Population 459,500 Persons

FRUIT INDUSTRY TARGETS2018 - 2022

B$

Mill

ion

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2018 2019 2020 2021 2022

Fruits 21.91 20.29 28.69 31.63 36.31

0

5

10

15

20

25

30

35

40

FRUITS INDUSTRY AREAS

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KKP TUNGKU

Brunei Muara


KKP LEKIUN

TEMBURONG


KKP SELAPON

TEMBURONG


KKP SEMABAT

TEMBURONG


KKP BEKARUT

TEMBURONG


KKP MERANGKING

BELAIT


KKP REMPAYOH

BELAIT


KKP BATANG MITUS BUAH

TUTONG

Avaiable Area : 400ha

KKP BIRAU & MARABURONG

TUTONG


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FOCUS & TARGET TECHNOLOGYFRUITS INDUSTRY

Drip Irrigation Fertigation

GreenhousesPhotos sources:http://www.powerhousehydroponics.com/4-commercial-vertical-farms-worth-attention/http://www.eco-business.com/news/panasonic-ventures-into-farming-in-singapore/ 23

http://www.powerhousehydroponics.com/4-commercial-vertical-farms-worth-attention/

STATUS OF FLORICULTURE INDUSTRY 2019

Total Consumption 999,601 plants


Local Production 811,524 plants



Total Import 188,077 plants




Average Retail Price (B$) 0.10 - 786.67 /plant

Average CIF Price (B$) 1.39 - 19.69 /plant

Ornamental Plants

Total Consumption 1,456,742 cuts


Local Production 52,720 cuts

Retail Value (B$) 42,992


Total Import 1,404,022 cuts



Import (%) 96.4 %

Average Retail Price (B$) 0.07 - 22.00 /cut

Average CIF Price (B$) 0.81 - 1.00 /cut

Cut Flowers

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FLORICULTURE INDUSTRY TARGETS 2018 - 2022

2018 2019 2020 2021 2022

Floriculture 4.53 4.41 4.55 4.84 5.17

0

1

2

3

4

5

B$ M

illio

n

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FLORICULTURE INDUSTRY AREAS

25

KKP TUNGKU

Brunei Muara


KKP MULAUT

Brunei Muara

Avaiable Area : 2ha

KKP MUMONG

Brunei Muara


KKP SG TAJAU

Brunei Muara


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FOCUS & TARGET TECHNOLOGY FLORICULTURE INDUSTRY

Blackout Screens LED Lighting Benching System

Grading System Packaging System

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STATUS OF PADDY INDUSTRY 2019

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Note:

Areas are divided into i) harvested area 1,141.09 ha for two seasons and ii) total developed area 772.79 ha

Total Consumption 2,308 mt




Average Retail Price (B$)

Local Paddy Scheme 1.60 /kg

Area Developed 772.79 ha

Productivity

Irrigated Area 5.12 mt/ha/yr

Non-Irrigated Area 1.15 mt/ha/yr

PADDY INDUSTRY TARGETS2018 - 2022

2018 2019 2020 2021 2022

Paddy 3.86 3.69 7.03 9.76 12.63

0

2

4

6

8

10

12

14

B$ M

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n

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FOCUS TECHNOLOGY - HIGH YIELDING VARIETIES

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2009 - LAILA1st Modern inbred rice variety planted

commercially (3mt/ha/season)

2016 - MRQ76Variety originated from Malaysia

(4-6mt/ha/season)

2016 - BDR5Product of DOAA R&D. Targetted for

rainfed areas (2mt/ha/season)

2018 - SEMBADA188Variety originated from Indonesia. (5-6mt/ha/season)

Nov 2020 - TITIHVariety selected through collaboration with Sunland

Agritech Pte Ltd. (8.5mt/ha/season)

STATUS OF BROILER INDUSTRY 2019

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Per Capita Consumption (kg/yr) 56.5 kg

Total Day Old Chick 16,983,429 birds

Local 14,966,229 birds

Import 2,017,200 birds

Price Per Chick (B$) 1.20 /bird

No. of Slaughter Broiler 16,389,433 birds

Mortality Rate 10.1 %

Growth Period 7 weeks

Average Dressed Weight (kg) 1.50 /bird

No of Entrepreneurs 55 persons



Percentage Production 94.7% %

(not included process product)

Import (Chilled & Frozen) * 1,381.9 mt




Average Retail Price (B$)

Whole Chicken 4.45 /kg


Part 3.86 /kg

Further Process 2.87 /kg

Process 3.87 /kg

Brunei Population 459,500 persons

BROILER INDUSTRY TARGETS 2018 – 2022

2018 2019 2020 2021 2022

Broiler 115.92 109.37 116.07 125.29 141.74

0

20

40

60

80

100

120

140

160

B$ M

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Automated feeding system Automated water system Ventilation fans

Efficient ventilation systemAir-conditioned system with air-

conditioned wall

Photos sources:http://www.lubing.com/with-cups.html 34

FOCUS & TARGET TECHNOLOGYBROILER INDUSTRY

STATUS OF AGRIFOOD INDUSTRY 2019

35

• This industry contributed B$$132.47

million or 31% of Agriculture and

Agrifood Sector.

• Categorized into meat based

processing and crop based processing.

AGRIFOOD INDUSTRY TARGET2018 - 2022

2018 2019 2020 2021 2022

Livestock based processing 77.22 87.83 95.18 103.19 109.11

Crop based processing 50.76 44.64 46.92 49.36 55.00

Total 127.98 132.47 132.40 132.40 164.11

0

20

40

60

80

100

120

140

160

180

B$ M

illio

n

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Nota : 2018 & 2019 actual data

FOCUS & TARGET TECHNOLOGY AGRIFOOD INDUSTRY

Vacuum Packaging

Machine

Horizontal Packaging

Machine

Dough Sheeter3 Tier Oven Encrusting Machine

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INITIATIVES

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• Agriculture Pilot Project

• Contract Farming Program for Youth

• Business Expansion Program

• Local Market Facilitation

• Export Market Facilitation

• Opening up new areas for paddy production for commercial paddy planting

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SPIN OFF OPPORTUNITIES IN AGRICULTURE SECTOR

• Marketing Services

• Transportation Services

• Fertilizer Supplier

• Machinery Supplier

• Slaughter House

• Waste Disposal

• Hatchery

• Others

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THANK YOU

Email : [email protected]

Website : http://www.agriculture.gov.bn

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business opportunities in agriculture and agrifood … · 2020. 10. 24. · business opportunities...

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